Nowadays everyone keeps a savings account in the bank. It is not only a safe place to keep money but is also used for transactions. However, the interest rate on savings account is very low. But do you know that you can make your savings account more profitable? Yes, through the auto sweep facility, you can earn interest like a fixed deposit on your savings account.
What is auto sweep service?
Auto sweep service is a facility under which when there is more money in your savings account than a certain amount, that amount is automatically transferred to fixed deposit. This means that you keep depositing money in your savings account and when that amount exceeds a certain limit, that amount will automatically be converted into fixed deposit on which you will get more interest.
Benefits of Auto Sweep Facility
- The interest on fixed deposits is much higher than the interest on savings accounts. This way you can earn higher returns on your money.
- You do not need to go to the bank every time to make a fixed deposit. This work is done automatically.
- You can break your fixed deposit and withdraw the money at any time.
- If you want to invest but do not know where to invest then auto sweep facility can be a good option for you.
How does the Auto Sweep feature work?
You can activate the auto sweep facility by visiting your bank or through online banking. You just have to decide how much amount is there in your savings account after which that amount will be transferred to the fixed deposit. Once you set this limit, everything else happens automatically.
Which banks provide auto sweep facility?
Auto sweep facility is a great way to make your money work. If you want to earn more interest on your savings account then you must try the auto sweep facility. Almost all banks offer auto sweep facility. You can get more information about this facility by visiting your bank’s website or mobile app.
How to enable Auto Sweep Facility?
Let us tell you that different banks provide this service according to their convenience. Here we are telling the process of activating this facility for the customers of State Bank of India (SBI). You can activate the auto sweep facility in SBI in two ways. You can do it easily through internet banking or YONO app.
Through Internet Banking:
- Firstly, log in to your SBI internet banking account.
- Go to the menu and select “Fixed Deposit” option.
- Then click on “More” option.
- Here you will find the option of “Auto Sweep Facility”, click on it.
- Now you have to select the account in which you want to enable this feature.
- Next, you have to set the amount above which the additional amount will automatically be transferred to the fixed deposit.
- Also, you have to choose the tenure of the fixed deposit.
- After filling all the information, click on the “Submit” button.
- You will need to enter an OTP or transaction PIN/password.
- This facility will be activated in your account within a few days.
Through the YONO app:
- Open YONO app in your mobile.
- Go to the menu and select “e-fixed deposit” option.
- Then choose the option “Multi Option Deposit”.
- Now you have to select the account in which you want to enable this feature.
- The rest of the process is the same as internet banking. You have to specify the amount and period and then submit.
- This service will be activated after entering OTP or transaction PIN/password.
The process of activating auto sweep facility is almost the same in other banks as well. You can visit your bank’s website or mobile app to find out how to activate this facility in your bank.
